France Sets Deadline to Overhaul Labor Laws

By

William Horobin And

Gabriele Parussini

Updated Jan. 10, 2013 9:23 a.m. ET

PARIS—French unions and employers are starting what the government calls a last-ditch bid to agree on broad changes to labor laws, a process President François Hollande initiated with the hope of reassuring investors that the country can loosen its employment market without mass protests and disruption.

Representatives from the country's five largest unions are to sit down on Thursday to negotiate with employers, who want to make it easier for French companies to adjust working hours and pay, along with reducing risks...